Where to invest $200,000?

Question

I need suggestions on where to invest some money long term (holding it for 5 to 10 years and use for retirement). I'm looking for any suggestions such as stocks, mutual funds, market index funds, etc. I'm looking for a return that beats the market (DOW, S & P, Nasdaq, etc.). Be creative and you can win extra points for best answer.

Answer 1

Invest it with Vanguard. Lowest cost funds with consistently high returns. I would allocate it as follows:

25% Total International Index
25% Total US Stock Market Index
10% Energy Index
10% REIT Index
10% Health Care Index
15% Total Bond Market Index
5% Prime Money Market Fund

The sector funds have beaten the market for years and years, and probably will over the next decade as well. You need some bonds/cash because you need the money in 5-10 years (in case the market tanks at least you'll have something left).

There are some ways to simplify this allocation--like buying their LifeStrategy Growth fund, which combines Int'l, US, and bond indexes. Or use their Target Retirement fund for your time frame and then add the sector funds as you wish. Explore the site; they have tons of great funds. www.vanguard.com

Answer 2

Well, I don't really consider 5 years "long term." I'd recommend something a little more conservative with a window of 5-10 years, such as a mix of funds or ETFs with about 40% in bonds. Of course, if the market does well, you probably won't beat it with that mix, but you can't have it both ways. A return that beats the market will require taking on more risk, but if you'll need that money in 5 years, I don't see that as prudent.

Answer 3

Number one put it into a Money Market Mutual fund while you figure out this problem.
Currently the MM is getting about 5% so while you are studying of what to do you will be making money. Also it does not cost you anything to open this fund. Just call fidelity, vanguard etc.and they will give you lots of help on how to put that money into their MM.
then as you study your best direction you can simply move some of that money easily into stock fund, bond funds, etc. As long as the MM pays a good interest there is no rush to make your choices.

Answer 4

Get some Hookers . Enjoy every penny . On a more serious note , The Asian Stock markets are doing very well these days like India , Hong Kong , Japan etc . You could invest in stocks for Long term Profits .

Answer 5

Some mighty bad advice up above. To properly answer your question, more info is needed. Do you have any other investments? Own a home? You need a proper asset allocation plan. Check with your local chamber of commerce, better business bureau, friends, social service organizations, etc. for a good fee only financial advisor.

Answer 6

I would suggest you diversify. Put some in real estate, some in gold, some in mutual funds, some cds and some stocks.

Answer 7

Let me get this straight;

You want to get investment advise from total strangers with no idea of what their qualifications are or any idea behind their motives. You're willing to put $200,000 down on this recommendation (for your retirement, no less).

OK..... I've got a bridge to sell you. Exact cost:$200,000.00 (sales tax exempt).........

Answer 8

Why not put some in real estate? You could even invest in companies like Coke or Pepsi.

Answer 9

It's hard to beleive that you have $200,000 and are asking for advice here.....Did your fortune start at $1,000,000

Get a registered financial advisor and get some quality advice based on your risk tolerance, and financial goals.

Answer 10

why don't u open up a McDonald's, the owner operator will earn 1million in 5 yrs, and all u would need to do is have a good store manager.